65% of startups fail because they don’t have the right talent. At the early stages, it’s an execution business. People execute. It’s that simple. However, hiring people isn’t a skill we are born with. They don’t exactly teach hiring in any school either. Instead, we learn by doing and we all make mistakes. My friend Jeff Hyman is trying to change that so he wrote a book called Recruiting Rockstars and you should buy it today and read it.
I first met Jeff when he was raising money for his last company. I didn’t invest because it wasn’t in my wheelhouse, but I was impressed with him. Prior to that company, he had built and sold other entrepreneurial companies. He has felt the pains outlined in this book.
Here is a video Jeff made about the book.
He practices what he preaches. He encourages CEO’s to make videos when they want to hire.
What I love about the way Jeff approaches hiring is that he puts a process in place. He tries to take variance out of a process that has a lot of variance because you are dealing with humans on each side of the equation. It’s pretty easy for a person to say, “hire great people”, but it’s significantly harder to actually do it. The other thing CEO’s need to do is fire fast. Jeff offers up ways to do that too. Usually, you know if a person is going to fit within 60 days.
This is not an approach to undertake piecemeal. It requires your board of directors to be involved. It involves your lowest employee. When you do it right you will find that everyone in the company is on board and you will create the culture that you want. Your culture will help you recruit new rockstars. I think if you combine what he talks about with the thinking of The Risky Hire, you will develop a team that is unstoppable. Once hired, you might think about using JuvodHR to track and keep people engaged.
Jeff operates a podcast, Strong Suit. Here is the link.
From my perspective as an investor, it’s enlightening. It gives me a way to think about the process with a ready-made manual on how to advise CEOs. Great job Jeff.